House approves $2.5 billion in supplementary provisions for 2018
Minister of Social Protection, Amna Ally
Minister of Social Protection, Amna Ally

THE National Assembly on Friday approved the $2.5B in supplementary provisions for the period January 1, 2018 to December 31, 2018 for both capital and current estimates following intense grilling from the Opposition People’s Progressive Party (PPP).

Opposition Chief Whip, Gail Teixeira

Government will utilize this sum, $2.526,563,240 to be exact, in addition to previously approved sums indicated in the 2018 National Budget. The current and capital estimates contained in Financial Paper No. 2 of 2018 were unanimously approved by the House, after being tabled by Finance Minister Winston Jordan.

Under current estimates which totaled $1, 388, 049, 000, the Ministries of Agriculture and Foreign Affairs requested $600, 000, 000 and $788, 049, 000 respectively, while under capital estimates, the Agriculture, Public Infrastructure and Social Protection Ministries along with the Guyana Defence Force (GDF) requested $226M, $346M, $81M and $484M respectively, thereby bringing the total to $1, 138, 514, 240.

In the case of the Ministry of Agriculture, the current estimate of $600,000,000 is being sought to offset increased expenditure for the National Drainage and Irrigation Authority (NDIA) which arose as a result of the transfer of drainage and irrigation responsibilities previously undertaken by the Guyana Sugar Corporation (GUYSUCO).

Agriculture Minister Noel Holder told the Committee of Supply that the additional sums are needed to address the new responsibilities which befall the NDIA, an agency under his Ministry. Under intense grilling by Opposition Member Dharamkumar Seeraj, Holder said that despite the closure of the Skeldon, a section of Rose Hall, East Demerara and Wales estates, there is still a need for drainage and irrigation works to be done as it is part of a wider drainage system.

Minister of Agriculture, Noel Holder

“Sir, this gives an indication that this Ministry is not sure about what they are doing. The explanation in the remarks column sir for $600M seems to be very bland and I would ask the Minister of Agriculture to tell this House how he expects to spend this $600M that is being sought,” Seeraj stated.

Holder in response, made it clear that GUYSUCO is no longer producing and cultivating at the four estates and with government’s move to divestment, it is in the best interest of that process that the National Drainage and Irrigation Authority (NDIA) carry out those functions that were once manned by the sugar company.

“…These estates played a vital role of the drainage and irrigation network where they are situated, providing drainage and irrigation to agricultural and residential areas. It is in the government’s best interest to retain and maintain certain aspects of these estates,” the Agriculture Minister said. He believes that such a move will allow for “a more profitable divestment” of the estates.

Holder said that GUYSCUO has since signed a Memorandum of Understanding (MOU) with the NDIA, in this regard. The MoU signed between the two entities will see the NDIA contracting GUYSUCO to maintain middle-walks and canals, and rebuilding access dams, among other things. The NDIA will supervise the works, while GuySuCo will provide the manpower for the work. Additionally, GUYSUCO will provide a coordinating officer at each estate to inspect and verify the work.

According to the Minister, the NDIA will be responsible for 26 additional drainage pump stations with 55 pumps, three additional pump stations with eight pumps, and the maintenance of 4,560 additional miles of drainage and irrigation canals along with 1000 miles of access dams and 760 bridges, among other things.

“So here it is, the NDIA has been asked to assume this responsibility, which it has done. And as you can see the rains have started and there are no problems,” he stated.
However, when the attention of the Committee of Supply was turned to the $226,161,235 being sought by the ministry to facilitate the procurement of six long boom excavators and four mini excavators along with spare parts following the conclusion of a legal matter between the NDIA and GUYTRAC, Holder was intensely grilled, causing much heckling by the Opposition side.

The Committee of Supply was informed that GUYTRAC had a contract with the NDIA for the provision of 20 mini excavators, but that contract was terminated and the company took the state to court, thereby winning $226M in judgment.

Minister of Public Infrastructure, David Patterson

Opposition Member Juan Edghill questioned Holder about the award of the court and the negotiations that derived thereafter between the two parties to the case. But the Minister maintained that “NDIA don’t need 20 min-excavators…they seem to have been procured or wanted to be procured by the former administration for political mileage.”
Holder’s response resulted in many Opposition members, including the Opposition Leader, Bharrat Jagdeo, shouting, “misconduct in public office”. Two ministers of the former administration are currently facing charges for misconduct in public office, contrary to the common law.

Meanwhile, $346,500,000 has been approved by the House to the Ministry of Public Infrastructure for the purchase and installation of two additional boarding bridges for the Cheddi Jagan International Airport (CJIA) project. Currently, there are two boarding bridges installed at the airport.

Subject Minister David Patterson said the requested sum is part of a new contract and not the existed US$138M contract originally entered into with China Harbour Engineering Company (CHEC). Some sections of the refurbished airport are already in use while the new arrival terminal will be opened next month.

However, Opposition Member Juan Edghill questioned the number of boarding bridges (air bridges) catered for in the original design. He said as far as he is aware the number is 8 but Patterson said the contract did not speak specifically to 8 boarding bridges. “I have spoken on this extensively that we would always have 4 air bridges on completion, that is since we took over. The contract had two and I always said four,” Patterson stressed.
In fact, he said the CHEC contract makes no provision for boarding bridges. Patterson has since committed to laying over to the House the initial and new contracts for the CJIA expansion project.

Meanwhile, Minister of Social Protection Amna Ally was called upon to explain why government is expending some $81,614,005 on the construction of a concrete fence of perimeter 4,338 feet at the New Opportunity Corps (NOC) to address security breaches.
Opposition Chief Whip Gail Teixeira, in a passionate presentation, called on Ally to reallocate the requested sum towards programmes aimed at rehabilitating the children housed at the NOC. Ally admitted that no money was budgeted for in the 2018 Budget for the construction of the fence. Instead, she said $6, 696, 000 was allocated towards the Palms Geriatric Home.

“Could you say in what way the expenditure of $81M is justified for a fence versus 81M for programmes for the children to make reintegration into society better?” asked Teixeira to which Ally said her government wants to ensure that those who are placed at the NOC are safe.
She told the house that the APNU+AFC coalition government inherited the NOC which had poor infrastructure and was inundated with “bush”. “Mr Chairman, we now at Ministry of Social Protection are doing everything possible to secure and protect the residents of that institution,” the Minister assured the House.

But Teixeira asked, “Are you building another prison?” to which Ally said, “No, we are not building a prison, we have a very small fence, it is low and very often the children run away. Over the last 12 months there have been 7 separate incidents where 46 of the offenders absconded from the NOC. They are our responsibility…we have to protect them,” she declared.

But the Opposition Chief Whip, unsold by Ally’s utterances, reminded that the children are in need of programmes to rehabilitate them so that they can be reintegrated into society.
“The children have been exposed to a proper literacy programme, something you never paid emphasis on…the physical conditions we inherited – it was purely a rundown place…” Ally stated. She told the House that the fence will stand at 10 feet high and will have “razor wire”.

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